Ahmedabad International School
Assignment/Activity 1
Grade: IB 1 Subject: BM
Date: 18th June 2025 Unit Name: Introduction to business
Name: Roll No:
Div: B
Paper Boat is a brand under Hector Beverages, founded in 2013 in India. It was established
with the mission to bring back traditional Indian drinks in a modern, convenient format. The
brand focuses on reviving ethnic beverages like Aam Panna, Jaljeera, and Kokum Sherbet
by packaging them innovatively and marketing them with an emotional narrative that appeals
to nostalgia.
Paper Boat was started by Neeraj Kakkar and his co-founders, driven by an entrepreneurial
desire to blend Indian tradition with modern FMCG business practices. They identified a
niche market for traditional Indian drinks that were disappearing in urban settings. Paper
Boat’s creation is a prime example of innovation, entrepreneurship, and business planning.
Neeraj Kakkar exemplifies the entrepreneurial spirit by turning a cultural concept into a
scalable business idea. The company integrates key functions such as operations
(manufacturing drinks), marketing (branding and storytelling), finance (venture capital
funding), and human resources (building a motivated team). It operates in the tertiary sector,
though its production involves secondary sector processes.
Hector Beverages is a private limited company, which allows it to raise capital privately while
maintaining strategic control. While Paper Boat is clearly a for-profit entity, it also
incorporates elements of a social enterprise through its commitment to cultural preservation
and environmental sustainability. It supports local farmers, promotes regional fruits, and uses
eco-friendly packaging, thus aligning with ethical and responsible business practices.
Paper Boat has articulated clear objectives to guide its operations and growth. Its mission
statement, “Drinks and memories,” reflects its commitment to combining emotional
resonance with consumer products, while its vision is to bring back traditional beverages with
love and authenticity. The company sets corporate objectives such as market expansion,
product development, and customer loyalty. Its strategic goals include penetrating Tier-2 and
Tier-3 markets, expanding the product range, and sustaining brand loyalty. A good example
of a SMART objective is: “Achieve a 15% increase in market share in the health beverage
segment within the next fiscal year.” It actively engages in corporate social responsibility by
using minimal processing, ethical sourcing, and recyclable packaging.
Paper Boat interacts with a range of stakeholders. Internally, its employees are key players in
product innovation and brand communication, while shareholders provide capital and expect
returns. Externally, customers value the product’s authenticity and health benefits, while local
suppliers (especially farmers) are
vital for sourcing raw materials. Government bodies regulate food safety and packaging
compliance. Media outlets and pressure groups observe and influence the company’s
environmental and ethical claims.
Stakeholder conflicts can arise—for example, investors may push for rapid expansion, while
the management prefers slow, value-driven growth. The company uses stakeholder mapping
to prioritize high- interest and high-influence groups like investors and consumers.
Paper Boat exemplifies how a business can merge traditional values with commercial
success. It represents
entrepreneurial innovation alongside ethical objectives and a nuanced understanding of
stakeholder dynamics. Through cultural preservation, sustainable practices, and strategic
growth, Paper Boat stands out as a contemporary business with deep cultural roots.
Student reflection:
